On August 9, 2018 IntelGenx Technologies Corp. (TSX-V:IGX) (OTCQX:IGXT) (the "Company" or "IntelGenx")reported financial results for the second quarter ended June 30, 2018 (Press release, IntelGenx, AUG 9, 2018, View Source [SID1234528595]). All dollar amounts are expressed in U.S. currency and results are reported in accordance with United States generally accepted accounting principles except where noted otherwise.
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2018 Second Quarter Financial Highlights:
Total revenue was $234,000, which reflected decreases in deferred revenues on monetization of $915,000.
Negative adjusted EBITDA was ($1.9 million), compared to negative adjusted EBITDA of ($390,000) in the same period last year.
Cash and short-term investments totalled $3.7 million as at June 30, 2018.
Recent Developments:
Received a Notice of Allowance from the Canadian Intellectual Property Office for the Company’s Canadian Patent Application Number 2,998,223 entitled "Loxapine Film Oral Dosage Form", covering the use of loxapine in an oral transmucosal film for the treatment of schizophrenia or bipolar 1 disorder. This was the Company’s first patent allowed in Canada and the first Canadian patent for its VersaFilm technology.
Announced that the European Patent Office issued a "Notice of Intention to Grant" for the Company’s European Patent Application Number 14832172.2 entitled, "Instantly Wettable Oral Film Dosage Form Without Surfactant or Polyalcohol." This was the first key patent allowed in Europe for the Company’s VersaFilm technology and covers the formulation of its Rizaport product.
Announced the publication of a peer-reviewed paper in the March 2018 issue of Alzheimer’s & Dementia: The Journal of the Alzheimer’s Association, which highlighted one of the most significant unmet medical needs that may be addressed by IntelGenx’s Montelukast VersaFilm product candidate.
Announced the settlement of all Subxone patent litigation between the Company, Par Pharmaceutical, Inc., Indivior UK Limited and Aquestive Therapeutics, Inc.
"The advancement of our product pipeline toward commercialization continued to be a key priority in the 2018 second quarter," commented Dr. Horst G. Zerbe, President and CEO of IntelGenx. "To that end, we were pleased that two patent allowances – one in Canada and the other in Europe – imparted protection for our proprietary VersaFilm technology platform in those jurisdications for the first time, providing additional validation of the innovative work being carried out by our talented R&D team. More recently, we were also excited to learn from our Spanish marketing partner, Grupo Juste (now Exeltis Healthcare), that the Committee for Medicinal Products for Human Use has included RIZAPORT in the list of medicines within the Informative Note from its July 2018 meeting, one of the final steps needed before marketing authorization can be obtained from the Spanish Agency of Medicines and Medical Devices."
Financial Results:
Total revenues for the three-month period ended June 30, 2018 amounted to $234,000, compared to $1.1 million for the three-month period ended June 30, 2017. The decrease for the three-month period ended June 30, 2018 compared to last year’s corresponding period is mainly attributable to a decrease in deferred revenues on monetization of $915,000.
Operating costs and expenses were $2.4 million for the second quarter ended June 30, 2018, versus $1.7 million for the corresponding quarter in 2017. The increase for the three-month period ended June 30, 2018 is mainly attributable to a $203,000 increase in Research and Development expenses and a $496,000 increase in Selling, General and Administrative expenses.
For the second quarter ended June 30, 2018, the Company had an operating loss of $2.1 million, compared to an operating loss of $613,000 for the comparable period of 2017.
Net comprehensive loss was $2.4 million, or $0.04 on a basic and diluted per share basis, for the three-month period ended June 30, 2018, compared to a net comprehensive loss of $550,000, or $0.01 on a basic and diluted per share basis, for the comparable period of 2017.
As of June 30, 2018, the Company’s cash and short-term investments totalled $3.7 million.
Conference Call Details:
IntelGenx will host a conference call to discuss its second quarter 2018 financial results today, Aug 9, 2018, at 4:30 p.m. ET. The dial-in number for the conference call is (833) 231-8269 (Canada and United States) or (647) 689-4114 (International), conference ID 5888143. The call will also be webcast live and archived for twelve months at www.intelgenx.com.